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Building on our publication of last year, this edition provides insight into the national regulatory framework for foreign investment review in 23 major jurisdictions around the world, as well as an overview of current trends and developments in this field.

Over the past few years, foreign investment has grown to match levels that were attained during the pre-economic crisis era of the mid-2000s. Relatedly, national economies have continued their recovery from the global financial crisis; on 19 May 2015, the Dow Jones Industrial Average reached a new all-time high. Within this environment, foreign investment often constitutes a source of capital that is key to promoting and sustaining domestic economic growth.

From the perspective of investors, it can represent an important opportunity to expand into new markets or to implement efficiency enhancing improvements to a supply chain. Legislators and regulators operating within this framework frequently face the challenge of attracting sufficient capital to develop the local economy while at the same time protecting national interests, including national security.

The diversity among foreign investment regimes reflects the fact that each nation has a unique set of goals and priorities to consider. Some countries, are introducing reforms aimed at attracting greater foreign investment.

At the same time, the experience of other jurisdictions highlight that foreign investment review remains a balancing act between attracting foreign capital and protecting domestic interests in certain sectors of the economy. One common theme across jurisdictions is that foreign investment reviews continue to present complex issues for businesses, regulatory authorities and legal counsel alike.